The New York Business Divorce blog excerpts a new section in the forthcoming 2015 edition to Limited Liability Companies: Tax And Business Law, in which Professor Daniel Kleinberger provides cautious advice for those who would ignore all business entity formalities with respect to limited liability companies.

Delaware courts are famously reluctant to pierce the corporate veil in any case lacking a clear showing of fraud or other wrongdoing. But as we have noted in the past, not all states are as reticent in the application of this remedy.